U.S. stock indices mixed despite cheerful news

By IBT Staff Reporter On 03/04/10 AT 11:12 AM

The U.S. stock market erased morning gains to trade negative for the day, despite declining unemployment claims, better than expected sales from retailers, and Greece's successful auction of its 10-year bonds.

Worse than expected U.S. pending home sales report prompted a retreat, however.

The S&P 500 Index is down 0.07 percent, or 0.76 points, to trade at 1,118.03 at 10:56 am EST. The Dow Jones Industrial Average is up 0.04 percent, or 4.46 points, to trade at 10,401.22. The Nasdaq Composite is down 0.14 percent as tech stocks lag.

For the first time in three weeks, U.S. unemployment claims declined, dropping 29,000 to 469,000. The lowest decline of non-farm private payrolls in two years was also reported on Wednesday, according to ADP's calculations.

Investors are relieved that the Greek government is able to raise funds from the market, although Greece pays a heavy price for them as the yields of Thursday's bonds are higher than those of existing ones.